Bolivar Housing Authority outlines barriers, funding options for new affordable housing

Mike Miller, a representative of the Bolivar Housing Authority, told the Bolivar City Council that the housing authority has limited options for developing new affordable housing and described funding streams and partnerships the authority is pursuing.

“Bolivar Housing Authority, as a public housing entity, can do nothing with the money that we get from HUD except use it on the buildings that we have now,” Miller said, describing federal program limits. He told the council the authority holds a modest local account established with a city grant and additional settlement money that together total roughly the mid-five-figure range; the funds are earmarked and would revert to the city if not spent under the original terms.

What the authority can pursue: Miller explained that larger tax-credit projects typically go to bigger jurisdictions because those places have dedicated development arms and direct Community Development Block Grant (CDBG) funding. He identified the Jackson Housing Authority’s access to multiple funding sources and a local nonprofit (JONAH) that helps secure tax-credit and other development funds. For smaller communities such as Bolivar, Miller said U.S. Department of Agriculture Rural Development and THDA (Tennessee Housing Development Agency) programs are likelier funding sources.

Local finances and past steps: Miller said the housing authority received a city grant of about $15,000 years ago to establish a subsidiary corporation; most of that balance remains in a separate account. He said the authority also received about $24,000 from a class-action settlement after contributing a $1,100 attorney fee, leaving the authority with approximately $40,000 available under the non-federal account for certain uses.

Obstacles and options: Miller said tax-credit financing is competitive, requires significant local “skin in the game,” and tends to favor larger markets. He suggested partnerships with organizations such as JONAH or Southwest Tennessee Human Resources and proposed that the city could set aside tax-foreclosed parcels from the tax roll for development or donate property to a housing entity as a possible path forward. He volunteered to bring outside speakers or consultants to explain tax-credit and THDA programs to the council.

Why it matters: Council members seeking more affordable housing asked for context; Miller’s presentation outlined realistic funding pathways and constraints for small-city affordable housing development. No motion to allocate funds, set aside property, or enter a partnership was recorded in the transcript.

Ending: The council thanked Miller for the briefing and expressed interest in continuing the conversation and possible follow-up presentations.